Honda India to cut output | business | Hindustan Times
Today in New Delhi, India
Dec 11, 2017-Monday
-°C
New Delhi
  • Humidity
    -
  • Wind
    -

Honda India to cut output

Facing a shortage of components from Japan in the aftermath of the March 11 earthquake, auto major Honda Siel Cars India on Monday announced it will halve production at its Greater Noida plant throughout the next two months by reverting its operations to a single shift.

business Updated: Apr 26, 2011 01:54 IST
HT Correspondent

Facing a shortage of components from Japan in the aftermath of the March 11 earthquake, auto major Honda Siel Cars India on Monday announced it will halve production at its Greater Noida plant throughout the next two months by reverting its operations to a single shift.

Barely two days ago, arch rival Toyota had also cut production at its two plants in India by 70% for the whole of next month. The two companies are slated to launch a small car each later this year, which have not been impacted so far.

“We are experiencing gaps in our supply chain due to the situation in Japan, resulting in production cuts,” said Jnaneswar Sen, senior vice-president, marketing and sales. “We are moving to single shift operations from May, 2011, while carefully monitoring the situation. We plan to get back to normal production as soon as supplies normalise.”

The announcement comes following a production cut by Honda Motor at its plants in Japan following a shortage of components due to the impact of the tsunami and the earthquake on its parts suppliers.

Honda Siel sells around 61,000 cars every year, and the impact on production is estimated at 5,000 units over May and June. Honda manufactures and sells the Jazz, City, Civic and Accord in India while CR-V is imported.